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NEW: Get 10,000 Nectar points (6,250 Avios) with the free Sainsbury’s Nectar Credit Card

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Sainsbury’s Bank has, until 18th January, boosted the bonus on the Sainsbury’s Nectar Credit Card.

This free Mastercard usually has a sign-up bonus of 8,000 Nectar points, which converts to 5,000 Avios.

For the next couple of weeks, this is increased to 10,000 Nectar points. This is worth 6,250 Avios.

It certainly isn’t a great credit card for day to day spending, as I will explain, but arguably 6,250 Avios as a sign-up bonus on a free credit card is worth thinking about.

About the Sainsbury’s Nectar Credit Card

The Sainsbury’s Nectar Credit Card is issued by Sainsbury’s Bank, a wholly owned subsidiary of the supermarket chain.

The card is issued as a Mastercard.

The representative APR is 20.9% variable.

Sainsbury’s Bank issues a number of credit cards with different features. All have the same earning rate per £1 spent. This version has the most generous Nectar sign-up bonus.

You can ONLY apply for the 10,000 points offer via this link and not via the standard Sainsbury’s Bank website.

What is the Sainsbury’s Nectar Credit Card sign-up bonus?

Until 18th January, you will receive 10,000 Nectar points when you spend £400 at Sainsbury’s, Tu Clothing or Argos within your first two months.

This is worth 6,250 Avios if you convert the Nectar points.

The usual bonus is 8,000 Nectar points, worth 5,000 Avios, and I would expect it to return to this level after 18th January.

Details of how to convert Nectar points to Avios are on ba.com here.

What are the conditions of applying?

There is no stated minimum income requirement.

You must have a Nectar card to apply. Sainsbury’s would prefer you to have held one for six months before applying for the credit card, but this is not compulsory.

Any other benefits?

All new cardholders receive two financial benefits:

  • 0% interest on balance transfers for 6 months
  • 0% interest on purchases for 6 months

Note that Sainsbury’s credit cards now work with Apple Pay, which was not the case a year ago, and with Google Pay.

What is the Sainsbury’s Nectar Credit Card annual fee?

There is no annual fee.

What do I earn per £1 spent on the card?

The earning rate on the card is 1 Nectar point per £5 for general spending and 1 point per £2 for spending in Sainsbury’s, Tu Clothing and Argos. This is exceptionally bad.

Points are earned ‘per transaction’. This means that a £4.99 purchase outside of Sainsbury’s will earn nothing. A £9.99 transaction would only earn one Nectar point. Given that the return is so poor in the first place, this is astonishing penny-pinching.

What is a Nectar point worth?

In virtually all circumstances, a Nectar point is worth 0.5p.

Here is our HfP guide on how to spend Nectar points.

1 Nectar point per £5 charged to your card is equivalent to a 0.1% rebate on your spend.

In reality, it is worse than this because your spending is rounded down to the nearest £5 per transaction before points are awarded.

With 1 Nectar point worth 0.625 Avios, you would earn 0.125 Avios per £1 spent outside Sainsbury’s. Inside Sainsbury’s and Argos you would earn 0.312 Avios per £1.

Avios nectar shopping

How does a 0.125 Avios per £1 compare to other Mastercard or Visa credit cards?

It’s a joke, to be honest.

Let’s assume that you get the free Barclaycard Avios credit card. This earns 1 Avios per £1 spent. You can transfer these to Nectar and get 1.33 Nectar points per £1, worth 0.66p.

Astonishingly, the free Barclaycard Avios credit card earns you 6.6x the rewards of the Sainsbury’s Nectar Credit Card. This is before you factor in the annual Barclaycard / British Airways upgrade voucher too!

Is the Sainsbury’s Nectar Credit Card worth getting purely for the sign-up bonus?

Yes, potentially. It is down to how desperate you are for 6,250 Avios, your ability to hit the qualifying spend and your willingness to add another card to your credit file.

The Sainsbury’s Nectar Credit Card sign-up bonus is worth considering. 10,000 Nectar points is worth 6,250 Avios.

You need to spend £400 in Sainsbury’s, Argos or Tu Clothing within two months to trigger the bonus. Before you apply, be certain that you can manage this.

It is likely that gift card purchases, for other companies, bought in Sainsbury’s would trigger the bonus.

Conclusion

The Sainsbury’s Nectar Credit Card has a good sign-up bonus. The bonus of 10,000 Nectar points will convert into 6,250 Avios.

The on-going earnings rate of 1 Nectar point per £5 spent is weak, unfortunately, and this card is not a great ‘keeper’ for daily spending. Even the ‘improved’ rate of 1 point per £2 spent in Sainsbury’s, Argos or Tu Clothing is a bit of a joke.

The application form for the Sainsbury’s Nectar Credit Card 10,000 points offer can be found here. The special bonus offer ends on 18th January.

Disclaimer: Head for Points is a journalistic website. Nothing here should be construed as financial advice, and it is your own responsibly to ensure that any product is right for your circumstances. Recommendations are based primarily on the ability to earn miles and points. The site discusses products offered by lenders but is not a lender itself. Robert Burgess, trading as Head for Points, is regulated and authorised by the Financial Conduct Authority to act as an independent credit broker.


Want to earn more points from credit cards? – January 2023 update

If you are looking to apply for a new credit card, here are our top recommendations based on the current sign-up bonuses.

In February 2022, Barclaycard launched two exciting new Barclaycard Avios Mastercard cards with a bonus of up to 25,000 Avios. You can apply here.

You qualify for the bonus on these cards even if you have a British Airways American Express card:

Barclaycard Avios Plus card

Barclaycard Avios Plus Mastercard

25,000 Avios for signing up and an upgrade voucher for spending £10,000 Read our full review

Barclaycard Avios card

Barclaycard Avios Mastercard

5,000 Avios for signing up and an upgrade voucher for spending £20,000 Read our full review

You can see our full directory of all UK cards which earn airline or hotel points here. Here are the best of the other deals currently available.

SPECIAL OFFER: Until 21st February 2023, the sign-up bonus on the British Airways Premium Plus American Express card is increased to 35,000 Avios from 25,000 Avios. You can apply here.

British Airways American Express Premium Plus

35,000 Avios (ONLY to 21st February) and the famous annual 2-4-1 voucher Read our full review

American Express Preferred Rewards Gold

Your best beginner’s card – 20,000 points, FREE for a year & four airport lounge passes Read our full review

The Platinum Card from American Express

30,000 points and unbeatable travel benefits – for a fee Read our full review

Virgin Atlantic Reward+ Mastercard

15,000 points bonus and 1.5 points for every £1 you spend Read our full review

Earning miles and points from small business cards

If you are a sole trader or run a small company, you may also want to check out these offers:

SPECIAL OFFER: Capital On Tap has increased its sign-up bonus to points worth 30,000 Avios if you apply by 4th February. This is exclusive to Head for Points readers. Click here to apply.

American Express Business Platinum

40,000 points sign-up bonus and a £200 Amex Travel credit every year Read our full review

American Express Business Gold

20,000 points sign-up bonus and free for a year Read our full review

British Airways Accelerating Business American Express

30,000 Avios sign-up bonus – plus annual bonuses of up to 30,000 Avios Read our full review

Capital On Tap Business Rewards Visa

Get a 30,000 points bonus, worth 30,000 Avios, until 4th February 2023 Read our full review

For a non-American Express option, we also recommend the Barclaycard Select Cashback card for sole traders and small businesses. It is FREE and you receive 1% cashback on your spending.

Barclaycard Select Cashback credit card

1% cashback (3% for 3 months if you apply by 31st March) and no annual fee Read our full review

Comments (45)

This article is closed to new comments. Feel free to ask your question in the HfP forums.

  • Froggitt says:

    While youre at Sainsburys Bank, take out their over 50s life insurance for 20,000 points. Cost, about £6 a month, cancel after 5 months once the points credit. Unfortunately theyve now stopped the double Nectar points at Sainsburys, but still about £70 in free munny

    • @mkcol says:

      Not often at 48 years old I complain about being too young!

      • Ryan says:

        Who says you need to actually be over 50? We’ve done plenty of pet insurance for my “cat” over the years. Application submitted so we’ll see if it goes through

    • gritts says:

      For £6 monthly fee it says 10000 pts.

      If your monthly premium is under £8.50, we’ll give you 10,000 points, which could be worth £50

  • @mkcol says:

    https://www.headforpoints.com/2022/12/31/free-sainsburys-nectar-credit-card-bonus/comment-page-1/#comment-819683

    It’s clearly a very long time since you’ve been in Aldi, they’ve been littered with branded goods for years.

    • Gordon says:

      That’s a more polite reply to Robs post, Shame there are not more reserved posts like this, It seems several people have had a sense of humour bypass, That surprises me with the current state of the NHS, We can only hope that 2023 will be a more positive one. Have a great new year Rob and the team and all posters….

  • Harry says:

    I thought last week you said credit cards were too much hassle?

  • Mart says:

    Does Sainsbury’s spend target include petrol?

This article is closed to new comments. Feel free to ask your question in the HfP forums.

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